ATTOM’s most recent Q3 2021 U.S. Home Sales Analysis reported that profit margins on median-priced single-family home and condo sales across the U.S. in the third quarter reached the highest level since the end of the Great Recession a decade ago, jumping to 47.6 percent.
According to ATTOM’s latest home sales report, the typical home sale across the country in Q3 2021 generated a profit of $100,178, as the national median home price hit a record of $310,500. The reported noted the latest profit level was up from $88,800 in Q2 2021 and $69,000 in Q3 2020, also a new high.
The report stated that those gains raised the typical home seller ROI from 42 percent in Q2 2021 and 34.5 percent in Q3 2020, marking the biggest quarterly jump since 2014 and the biggest annual surge since at least 2008.
ATTOM’s Q3 2021 home sales report also noted that the national median home price increased 3.5 percent from Q2 2021 and 15.9 percent from Q3 2020, marking the fifth straight quarter with year-over-year increases of at least 10 percent.
The most recent home sales analysis, conducted by ATTOM, also noted nationwide, all-cash purchases reached the highest level since Q1 2015, accounting for 34 percent of all single-family house and condo sales in Q3 2021. The Q3 2021 number was up from 33.2 percent in Q2 2021 and from 21.4 percent in Q3 2020.
Also, according to the report, among metro areas with a population of at least 200,000 and sufficient cash-sales data, those where cash sales represented the largest share all transactions in Q3 2021 were Columbus, GA (74.6 percent of all sales); Atlanta, GA (69 percent); Macon, GA (59.3 percent); Youngstown, OH (56.6 percent) and Detroit, MI (56.2 percent).
The reported noted that among those metros where cash sales represented the smallest share of all transactions in Q3 2021, the top five included Lincoln, NE (15.7 percent); Greeley, CO (17 percent); Salem, OR (17.1 percent) and Washington, DC (17.2 percent) and Worcester, MA (18.7 percent).
In this post, we dive deeper into that data to uncover the top 10 U.S. housing markets with the greatest annual increases in share of cash sales from Q3 2020 to Q3 2021. Among those metros with a population greater than 1 million, those with the greatest annual increases in share of cash sales from Q3 2020 to Q3 2021 include: Atlanta-Sandy Springs-Roswell, GA (increased from 23 percent of cash sales in Q3 2020 to 69 percent in Q3 2021); Detroit-Warren-Dearborn, MI (from 29.1 percent to 56.2 percent); Tucson, AZ (from 24.6 percent to 48.3 percent); Las Vegas-Henderson-Paradise, NV (from 25.1 percent to 44.9 percent); Phoenix-Mesa-Scottsdale, AZ (from 22 percent to 43.1 percent); Columbus, OH (from 21.1 percent to 38.5 percent); St. Louis, MO-IL (from 20.9 percent to 36.2 percent); Sacramento–Roseville–Arden-Arcade, CA (from 16.7 percent to 28.9 percent); San Francisco-Oakland-Hayward, CA (from 13.6 percent to 23.9 percent); and Virginia Beach-Norfolk-Newport News, VA-NC (from 11.8 percent to 21.5 percent).
Also, according to ATTOM’s Q3 2021 home sales report, institutional investors nationwide reached the highest level since Q1 2014, accounting for 7.3 percent of all single-family house and condo purchases in Q3 2021. The latest figure was up from 5 percent in Q2 2021 and was up three-fold from 2.4 percent in Q3 2020.
The report noted that among states with enough data to analyze, those with the largest percentages of sales to institutional investors in Q3 2021 were Arizona (17.4 percent of all sales), Georgia (13.9 percent), Mississippi (12.8 percent), Nevada (12.7 percent) and North Carolina (11.3 percent).
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